| 1 | 1 | | 84R19726 DDT-D |
|---|
| 2 | 2 | | By: Raney H.B. No. 3442 |
|---|
| 3 | 3 | | Substitute the following for H.B. No. 3442: |
|---|
| 4 | 4 | | By: Capriglione C.S.H.B. No. 3442 |
|---|
| 5 | 5 | | |
|---|
| 6 | 6 | | |
|---|
| 7 | 7 | | A BILL TO BE ENTITLED |
|---|
| 8 | 8 | | AN ACT |
|---|
| 9 | 9 | | relating to a surcharge imposed for the use of a debit card or |
|---|
| 10 | 10 | | stored value card; providing a civil penalty. |
|---|
| 11 | 11 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
|---|
| 12 | 12 | | SECTION 1. Subchapter E, Chapter 59, Finance Code, is |
|---|
| 13 | 13 | | transferred to Title 12, Business & Commerce Code, redesignated as |
|---|
| 14 | 14 | | Chapter 604A, Business & Commerce Code, and amended to read as |
|---|
| 15 | 15 | | follows: |
|---|
| 16 | 16 | | CHAPTER 604A [SUBCHAPTER E]. PROHIBITION OF CERTAIN SURCHARGES |
|---|
| 17 | 17 | | [SURCHARGE] |
|---|
| 18 | 18 | | Sec. 604A.001 [59.401]. DEFINITIONS. In this chapter |
|---|
| 19 | 19 | | [subchapter]: |
|---|
| 20 | 20 | | (1) "Cardholder" means the person named on the face of |
|---|
| 21 | 21 | | a debit or stored value card to whom or for whose benefit the card is |
|---|
| 22 | 22 | | issued. |
|---|
| 23 | 23 | | (2) "Debit card" has the meaning assigned by [in] |
|---|
| 24 | 24 | | Section 502.001[, Business & Commerce Code]. |
|---|
| 25 | 25 | | (3) "Merchant" means a person in the business of |
|---|
| 26 | 26 | | selling or leasing goods or services. |
|---|
| 27 | 27 | | (4) "Stored value card" has the meaning assigned by |
|---|
| 28 | 28 | | [as defined in] Section 604.001(1), [Business & Commerce Code,] but |
|---|
| 29 | 29 | | does not include the meaning assigned by [as defined in] Section |
|---|
| 30 | 30 | | 604.001(2)[, Business & Commerce Code]. |
|---|
| 31 | 31 | | (5) "Surcharge" means an increase in the price charged |
|---|
| 32 | 32 | | for goods or services imposed on a buyer who pays with a debit or |
|---|
| 33 | 33 | | stored value card that is not imposed on a buyer who pays by other |
|---|
| 34 | 34 | | means. The term does not include a discounted price charged for |
|---|
| 35 | 35 | | goods or services to a buyer who pays with cash. |
|---|
| 36 | 36 | | Sec. 604A.002 [59.402]. IMPOSITION OF SURCHARGE FOR USE OF |
|---|
| 37 | 37 | | DEBIT OR STORED VALUE CARD. (a) In a sale of goods or services, a |
|---|
| 38 | 38 | | merchant may not impose a surcharge on a buyer who uses a debit or |
|---|
| 39 | 39 | | stored value card instead of cash, a check, credit card, or a |
|---|
| 40 | 40 | | similar means of payment. |
|---|
| 41 | 41 | | (b) This section does not apply to a state agency, county, |
|---|
| 42 | 42 | | local governmental entity, or other governmental entity that |
|---|
| 43 | 43 | | accepts a debit or stored value card for the payment of fees, taxes, |
|---|
| 44 | 44 | | or other charges. |
|---|
| 45 | 45 | | Sec. 604A.003. CIVIL PENALTY. (a) A person who knowingly |
|---|
| 46 | 46 | | violates Section 604A.002 is liable to the state for a civil penalty |
|---|
| 47 | 47 | | in an amount not to exceed $1,000 for each violation. The attorney |
|---|
| 48 | 48 | | general or the prosecuting attorney in the county in which the |
|---|
| 49 | 49 | | violation occurs may bring: |
|---|
| 50 | 50 | | (1) a suit to recover the civil penalty imposed under |
|---|
| 51 | 51 | | this section; and |
|---|
| 52 | 52 | | (2) an action in the name of the state to restrain or |
|---|
| 53 | 53 | | enjoin a person from violating this chapter. |
|---|
| 54 | 54 | | (b) Before bringing the action, the attorney general or |
|---|
| 55 | 55 | | prosecuting attorney shall give the person notice of the person's |
|---|
| 56 | 56 | | noncompliance and liability for a civil penalty. If the person |
|---|
| 57 | 57 | | complies with Section 604A.002 not later than the 30th day after the |
|---|
| 58 | 58 | | date of the notice, the violation is cured and the person is not |
|---|
| 59 | 59 | | liable for the civil penalty. A person who has previously received |
|---|
| 60 | 60 | | notice of noncompliance under this subsection is not entitled to |
|---|
| 61 | 61 | | notice of or the opportunity to cure a subsequent violation of |
|---|
| 62 | 62 | | Section 604A.002. |
|---|
| 63 | 63 | | (c) The attorney general or the prosecuting attorney, as |
|---|
| 64 | 64 | | appropriate, is entitled to recover reasonable expenses incurred in |
|---|
| 65 | 65 | | obtaining injunctive relief, civil penalties, or both, under this |
|---|
| 66 | 66 | | section, including reasonable attorney's fees, court costs, and |
|---|
| 67 | 67 | | investigatory costs. |
|---|
| 68 | 68 | | SECTION 2. The changes in law made by this Act apply only to |
|---|
| 69 | 69 | | a sale of goods or services occurring on or after the effective date |
|---|
| 70 | 70 | | of this Act. A sale of goods or services occurring before the |
|---|
| 71 | 71 | | effective date of this Act is governed by the law in effect on the |
|---|
| 72 | 72 | | date the sale occurred, and the former law is continued in effect |
|---|
| 73 | 73 | | for that purpose. |
|---|
| 74 | 74 | | SECTION 3. This Act takes effect September 1, 2015. |
|---|